Close to 700 club....then

[Anonymous]

So I was close to hitting 700 in all three credit agencies. Today I log in and see that Experian has dropped me 50 points because I closed my, never late, always paid in full, First Premier Credit card. I closed this card months ago and it seems as if it just now updated on Experian. Also, the status reads, "Paid Loan". Is this normal?

[Anonymous]

Did closing the card impact your overall utilization? If not the score drop you are seeing is unrelated to the closing of the card. You said the source of the score is Experian... what is the exact product that is providing you with the score?

[Anonymous]

I've been carrying a zero balance on that card for nearly a year and never used it. I'm getting my score from this website. Thanks for your reply.

[Remedios]

You'll need to list all the cards you have with their limits and balances in order to be able to tell if utilization was affected by card closure 

(include the limit for the closed card) 

[Anonymous]

It's extremely unlikely that the closure of a CC would drop your score 50 points, but as stated in the previous reply you'd have to list out all of your cards with their balances/limits if you'd like a more solid explanation.

It's also a bit curious that a revolver would state "paid loan" on the account...?

[Anonymous]

Thanks for the replies. I think I've found the reason as to WHY my score dropped so much.

But...I'll start with this:

My current credit cards:

NFCU- $150/$10,000
UICCU (University of Iowa Credit Union)- $0/$5,000
Paypal Credit Card- $0/$2,000
USAA- $0/$1000
Cap 1- $0/$750 (I keep this card because it's my oldest)
The closed card in question was a First Premier. I had a $0 of $700 on that now closed card. It was my second oldest card, but charged a monthly fee so I closed it as soon as I got the CLI on my NFCU.


However, I just checked my full report. I'll try to be short and sweet here.

The only negative I have on my account was from a GI Bill overpayment that happened back in 2012/2013. I was unaware of this overpayment due to the VA sending the notice to an old address. Anyhow, I was eventually sent a letter to my current address telling me that the account was sent for collections. I paid it immediately. My credit reports had been showing "Collection Account" for the longest time, but it showed the last late payment was over 5 years ago. Which was the date I paid the over payment. I've tried multiple GW letters and emails to try to get it removed. I disputed with the credit agencies that I wanted the comments to read "Account paid" even if it was once sent to collection. TU and EQ updated the comments to reflect this over a year ago. Experian never did anything. Until this month and what they updated was the date of last payment....June 4th, 2018. Hence why, I suspect, my score actually dropped so much. Does this sound right to you two?

Thanks again for your replies and help.